Adopt resolution approving a three-year loan of $251,856 from the Wild Wings County Service Area Water and Sewer funds to the Wild Wings County Service Area Golf Fund to address a disruption in revenues and unanticipated expenses in the Golf Fund due to a change in management services. (No general fund impact) (4/5 vote required) (Lindbo/Villa)

Adopt resolution approving a three-year loan of $251,856 from the Wild Wings County Service Area Water and Sewer funds to the Wild Wings County Service Area Golf Fund to address a disruption in revenues and unanticipated expenses in the Golf Fund due to a change in management services.

On December 6, 2022, the Yolo County Board of Supervisors approved an agreement with The Management Trust for the temporary operation and maintenance of the Wild Wings Golf Course while the County conducted a Request for Proposals to find a new management firm.  The management transition resulted in disruption of revenues due to the alcohol sales license transfer.  Additionally, the golf course experienced lower play in the winter months due to significantly increased rainfall and a negative shift in the golf-industry that also impacted revenues.  The golf course has experienced increased operation costs, golf carts reaching the end of their useful life, and challenging greens /turf conditions incurring additional unanticipated expenses.  

On June 26, 2018, a resolution was adopted following a successful Proposition 218 hearing approving increased water and wastewater rates in Wild Wings for the residents and golf course.  Annually, the golf course pays $251,856 to the Wild Wings Water and Wild Wings Sewer funds for water and wastewater services based upon the 2018 rates. This resolution allows for the water and sewer payment to be amortized over a three-year period, and is expected to be repaid through an anticipated rate change.  The Wild Wings community is currently conducting a rate study, with an anticipated Public Hearing in 2024.  The Department of Financial Services has calculated the rate to replenish the water and sewer funds using a three-year term, paid annually after the receipt of Measure O funds collected on the property tax roll.  

Staff recommends the approval of this resolution to ensure adequate funds available in the Wild Wings Golf fund. Government Code section 25214.4 authorizes such a loan to CSA. Section 25214.4 requires the loan to be repaid within the same fiscal year in which the Board of Supervisors loans the funds unless the board, by a four-fifths vote, authorizes repayment of the loan for a period that does not exceed three years from the end of the fiscal year in which the loan was made.  

Financial Services, County Counsel, Wild Wings CSA Advisory Committee.

Not applicable